27,000 jobs to go at Hewlett-Packard

The move, which will affect about 8% of the company's 350,000 strong workforce, forms part of a cost cutting drive aimed at saving up to £2.2billion a year. The company, which has operations in 180 countries and employs about 20,000 people in the UK, said it expected the workforce reduction to impact 'just about every business and region'. The firm's chief executive Meg Whiteman, who joined HP last September to turn the company around, commented: "While some of these actions are difficult because they involve the loss of jobs, they are necessary to improve execution and to fund the long term health of the company. We are setting HP on a path to extend our global leadership and deliver the greatest value to customers and shareholders." As part of Whitman's proposed changes, HP's head of Autonomy Mike Lynch will be replaced by Bill Veghte, HP's chief strategy officer. Mr Lynch will leave after what HP called a 'transition period'. HP said in a statement that the money saved by the job losses would be reinvested into the company.